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The United States Of Debt: Total Debt In America Hits A New Record High Of Nearly 60 Trillion Dollars

Tyler Durden's picture


Submitted by Michael Snyder of The Economic Collapse blog,

What would you say if I told you that Americans are nearly 60 TRILLION dollars in debt?  Well, it is true.  When you total up all forms of debt including government debt, business debt, mortgage debt and consumer debt, we are 59.4 trillion dollars in debt.  That is an amount of money so large that it is difficult to describe it with words.  For example, if you were alive when Jesus Christ was born and you had spent 80 million dollars every single day since then, you still would not have spent 59.4 trillion dollars by now.  And most of this debt has been accumulated in recent decades.  If you go back 40 years ago, total debt in America was sitting at about 2.2 trillion dollars.  Somehow over the past four decades we have allowed the total amount of debt in the United States to get approximately 27 times larger.  This is utter insanity, and anyone that thinks this is sustainable is completely deluded.  We are living in the greatest debt bubble of all time, and there is no way that this is going to end well.  Just check out the chart...

Total Debt

When the last recession hit, total debt in America actually started going down for a short period of time.

But then the Federal Reserve and our politicians in Washington worked feverishly to reinflate the bubble and they assured everyone that everything was going to be just fine.  So Americans once again resorted to their free spending ways, and now total debt in the United States is rising at almost the same trajectory as before and has hit a new all-time record high.

We see a similar thing when we look at a chart for consumer debt in America...

Total Consumer Credit

For a while after the recession it was trendy to cut up your credit cards and get out of debt.

But that fad wore off rather quickly, didn't it?

It is almost as if 2008 never happened.  We are making the same mistakes with debt that we did before.

As I noted recently, total consumer credit in the U.S. has risen by 22 percent over the past three years alone, and at this point 56 percent of all Americans have a subprime credit rating.

And have you noticed that a lot of people are not afraid to extend themselves in order to buy shiny new vehicles these days?

During the first quarter 0f this year, the size of the average vehicle loan soared to a new all-time record high of $27,612.

Five years ago, that number was just $24,174.

And as I noted in one recent article, the size of the average monthly car payment in this country is now up to $474.

That is practically a mortgage payment.

Speaking of mortgage payments, even though home sales have been falling and the rate of homeownership in the United States is the lowest that it has been in 19 years, a very large percentage of those who own homes are still overextended.

In fact, one recent survey discovered that a whopping 52 percent of Americans cannot even afford the house that they are living in right now.

At the same time, an increasing number of Americans are acting as if the last financial crisis never happened and are treating their homes like piggy banks.   Home equity loans are soaring again, and when the next great crisis strikes a lot of those people are going to end up getting into a lot of financial trouble.

There has been much written about what is wrong with the housing industry, but the truth is that home prices are still way too high and young adults cannot afford to purchase homes because they are already loaded down by huge amounts of debt even before they get to the point where they are ready to buy.

In fact, a newly released survey found that 47 percent of millennials are spending at least half of their paychecks on paying off debt...

Four in 10 millennials say they are "overwhelmed" by their debt -- nearly double the number of baby boomers who feel that way, according to a Wells Fargo survey of more than 1,600 millennials between 22 and 33 years old, and 1,500 baby boomers between 49 and 59 years old.


To try to get out from underneath it, 47% said they spend at least half of their monthly paychecks on paying off their debts.

When I read that I was absolutely astounded.

Of course the biggest debt that many young adults are facing is student loan debt.  According to the Federal Reserve, there is now more than 1.2 trillion dollars of student loan debt in this country, and about 124 billion dollars of that total is more than 90 days delinquent.

What we have done to our young people is shameful.  We have encouraged them to sign up for a lifetime of debt slavery before they even understand what life is all about.  The following is an excerpt from my previous article entitled "Is College A Waste Of Time And Money?"...

In America today, approximately two-thirds of all college students graduate with student loan debt, and the average debt level has been steadily rising.  In fact, one study found that "70 percent of the class of 2013 is graduating with college-related debt – averaging $35,200 – including federal, state and private loans, as well as debt owed to family and accumulated through credit cards."


That would be bad enough if most of these students were getting decent jobs that enabled them to service that debt.


But unfortunately, that is often not the case.  It has been estimated that about half of all recent college graduates are working jobs that do not even require a college degree.

Considering what you just read, is it a surprise that half of all college graduates in America are still financially dependent on their parents when they are two years out of college?

According to the U.S. Census Bureau, only 36 percent of all Americans under the age of 35 own a home at this point.  That is the lowest level that has ever been recorded.

And we are passing on to our young people the largest single debt in all of human history.  Weighing in at 17.5 trillion dollars, the U.S. national debt is a colossal behemoth.  And almost all of that debt has been accumulated over the past 40 years.  In fact, 40 years ago the U.S. national debt was less than half a trillion dollars.

But this is just the beginning.  As the Baby Boomer "demographic tsunami" washes through our economy, we are going to be facing a wave of red ink unlike anything we have ever contemplated before.

Meanwhile, the rest of the planet is drowning in debt as well.

As I wrote about the other day, the total amount of debt in the world has risen to a new all-time record high of $223,300,000,000,000.

Our "leaders" keep acting as if these debt levels can keep growing much faster than the overall level of economic growth indefinitely.

But anyone with even a shred of common sense knows that you can't spend more money that you bring in forever.

At some point, a day of reckoning arrives.

2008 should have been a major wake up call that resulted in massive changes.  But instead, our leaders just patched up the old system and reinflated the old bubbles so that they are now even larger than they were before.

They assure us that they know exactly what they are doing and that everything will be just fine.

Unfortunately, they are dead wrong.


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Tue, 06/17/2014 - 21:24 | 4867521 Xibalba
Xibalba's picture

Good thing Debt is money!



Tue, 06/17/2014 - 21:38 | 4867549 Shocker
Shocker's picture

Phew.. This recovery is tough

Imagine what a recession would look like

Layoff List:


Tue, 06/17/2014 - 21:44 | 4867564 jbvtme
jbvtme's picture

couldn't these deadbeat millenials work off some of that debt by fighting in the mid east?

Tue, 06/17/2014 - 22:08 | 4867630 VAD
VAD's picture

We'd just have to borrow a few hundred billion to pay them first.

Tue, 06/17/2014 - 22:24 | 4867681 asdasmos
asdasmos's picture

Posted Elsewhere:


1) The taxes are not worth the value being returned.

I don't have a problem paying taxes, so long as they go to something worthwhile. I will end up paying around 33% - an entire 1/3rd of my income - in my 2013 tax return. Yes, I am getting a refund, but when I am paying tens of thousands of dollars and not getting the services I should receive for that investment in my country, celebrating the return of a few hundred dollars seems absurd.

Where is my benefit from my government for all of this? Do I have free healthcare? No. Do I have a world class education for my child? No. Do I have any kind of guaranteed income should I lose my job? No.

No, instead, I have a country which is the only one in the world to tax its overseas citizens. A country that bails out banks who prey on those who just want a home to raise a family when they become insolvent - but when it happens to me, and I short sell my home, the IRS is there, ready to tax me on "phantom income" - forgiven debt.

I have a country that spends billions on fighting wars for political gain, but does nothing when there actually is evidence of WMD use against others. A country that hemorrhages so much money on military spending, it must turn around and take loans against my child's future - her income - in order to continue to pay for programs we don't need.

2) I'm tired of people being surprised that I'm American because I have manners, common courtesy, and the ability to see the other side of issues.

Seriously, the number of people I meet who think Americans are rascal-riding land whales (like in the movie Wall-E) with handle-bar mounted machine guns, a sack of Big Macs in the front basket, a clinical addiction to NASCAR, and a passion for the modern day artist that is Jerry Springer - it's just too much. I've been introducing myself as Canadian because apparently I'm so polite, that's where they mostly assume I'm from.

3) The fact that none of this is ever going to change, regardless of what party is in charge, and the fact that the American government continues to shred the constitution a little more each year, until it doesn't even matter anymore.

You may not think of America as a police state, but it is. Nobody's going to come grab you in the middle of the night, unless you're reported as a terrorist of some kind. At that point, just forget about "police work" and get ready for the SWAT team.

Nobody is going to take your children way from you, unless Child Protective Services is called, and someone decides - for whatever reason - that it's "in the child's best interest" to be removed.

Nobody is ever going to interfere with your access to medicine, unless you're trying to get something that isn't ridiculously expensive from another country; in that case, get ready for being charged as a drug trafficker.

Nobody is going to freeze your bank accounts, passport, and other means of movement, unless the IRS believes you haven't given them enough money. Suddenly you have debt to prove isn't there, and it will all get "sorted out" at the blistering fast speed of government efficiency. Or you could just pay the amount they say and it all ends quickly.

4) The fact that the future for my child in the US is so dark.

All this debt, and it's going to fall on her and her children. She's broke, and she doesn't even know it yet. Disgusting.

Well, I count myself fortunate that I don't own a home in the US - it affords me the ability to even consider leaving it all behind. There's so much propaganda about how wonderful America is but, when you look at it without those rosy lenses on, what you really see is horrifying.



Tue, 06/17/2014 - 22:47 | 4867744 Brett Merkey
Brett Merkey's picture


You make valid points--and the most reassuring thing I can say is only that things will probably get worse before they get better.  :-/

We've lost our habits of solidarity in this country. People around the world have become quick to think the worst of us because we still have not created an alternative voice against a government which is committing constant crimes in our name.

Solidarity is key.



Tue, 06/17/2014 - 22:54 | 4867767 cifo
cifo's picture

So what? Inflation can easily take care of any amount. 60 trillion could be just 6 banknotes.

Tue, 06/17/2014 - 23:02 | 4867789 Stuck on Zero
Stuck on Zero's picture

I agree.  Or one coin issued by the mint.  Given that there are 60,000,000 people working actually producing anything of value in this country that $60 trillion only amounts to $1 million per real worker.


Wed, 06/18/2014 - 00:36 | 4867982 zaphod
zaphod's picture

The only thing we've learned in the last 1-2 generations is bebt in a paper fiat system is not real debt that has to be paid. That $60T can be created on demand as needed, at the rate the country needs by the FED. This means it is not real debt in the sense that it is stored wealth that needs to be paid off. It is only an accounting number that will be covered one way or another. If the US owed $60T of "real money" there would be a run on the country within 24 hours. 

Wed, 06/18/2014 - 00:40 | 4867988 prains
prains's picture

I'll see your bebt and raise you a bebteded

Wed, 06/18/2014 - 05:12 | 4868235 zerocash
zerocash's picture

Only one is enough as Zimbabwe has shown with their $100 trillion notes.

Wed, 06/18/2014 - 21:47 | 4871994 Anusocracy
Anusocracy's picture

A $100 trillion here, a $100 trillion there, pretty soon it adds up to a gram of gold.

Wed, 06/18/2014 - 06:34 | 4868302 boogerbently
boogerbently's picture

"A country that bails out banks who prey on those who just want a home to raise a family when they become insolvent"


OK, I hate "bankers" as much as the next guy, but an argument could be made that it is the group that 
"became insolvent" that crashed the system. 

The bankers compounded the problem by (deceptively) spreading their losses around the world.

Wed, 06/18/2014 - 08:53 | 4868610 Hopeful Skeptic
Hopeful Skeptic's picture

"Where is my benefit from my government for all of this? Do I have free healthcare? No. Do I have a world class education for my child? No. Do I have any kind of guaranteed income should I lose my job? No."


I'm totally on board with the notion that tax revenues are ill-spent, but no one who respects autonomy and freedom should expect/demand free healthcare or a great education or guaranteed income from the government. That's not the government's role. What's more, bad stewardship by the government isn't an excuse to demand more services from the government. And the fact that these are increasingly becoming expectations only contributes to our problems.

Tue, 06/17/2014 - 22:30 | 4867701 Cliff Claven Cheers
Cliff Claven Cheers's picture
Pete Stark Blows Up Over National Debt LOL


This is how they all think.  WTF

Wed, 06/18/2014 - 06:58 | 4868328 doctor10
doctor10's picture

They're all insane. clearly not liable for debt contracted by the mentally unstable.  Them bankers took advantage of certain congresspersons needing asylum.

Tue, 06/17/2014 - 21:46 | 4867574 rubiconsolutions
rubiconsolutions's picture

I have an idea. Since the tax system in this country is "progressive", that is the more you earn the higher your tax rate is perhaps what we should do is this - let's make the debt progressive too. This would mean that Bill Gates, Warren Buffett, Lloyd Blankfein and all the others would pay a substantially larger percentage of the debt. Now pass legislation that would force everyone to pay their portion of the debt in a timely fashion, say, 12 months. Now of course this would mean that Warren would have to cough up around $25 Billion but hey, that's fair right? I mean after all, he and lots of rich folks have benefited from a liberal tax policy. 


Only partially </sarc>

Tue, 06/17/2014 - 22:34 | 4867711 Cliff Claven Cheers
Cliff Claven Cheers's picture

I think our tax system is actually in backwardization.  You can have 3 or 4 kids and earn 25k and the Govt will pay you $6500 in earned income credit.  So they will give you back all the tax you paid through out the year and then pay you to be poor and have kids.

Wed, 06/18/2014 - 06:15 | 4868286 redwater
redwater's picture

I'm single with no debt or kids. And I always get hosed on taxes. 

I work with someone with five kids. He gets all sorts of incentives.

It's almost like the money the goverment takes, from me in a year, is the same amount they can't wait to give back to him.


Wed, 06/18/2014 - 08:15 | 4868450 venturen
venturen's picture

and when you retire who do you think is going to take of everything....those people's kids. Maybe you don't realize the amount of money it takes to raise kids...maybe you should go ask your parents. The kids are the future... I am more worried about the guy making $1million plus, pays taxes only every couple years when he takes gains and use a deferred income/trust strategy to pay almost ZERO! 

Tue, 06/17/2014 - 22:41 | 4867726 potato
potato's picture

We did not enter into a legal agreement to borrow the money owed by the government. We have no moral obligation to pay it back. The politicians borrowed it.

Wed, 06/18/2014 - 02:25 | 4868111 shouldvekilledthem
shouldvekilledthem's picture

We have no moral obligation to pay it back. The politicians borrowed it.



Potato, thank you for the entertainment. 

Wed, 06/18/2014 - 03:23 | 4868157 sessinpo
sessinpo's picture

Potato    We have no moral obligation to pay it back. The politicians borrowed it.


shouldvekilledthem     Potato, thank you for the entertainment.


Yes Potato, thank you for your entertainment.  By virtue of electing these corrupt politicians, we are obligated to that debt. That is the inferred contract.

You didn't sign a property tax contract, but stop paying your property taxes. Because the majority elected local politiciams that passed property tax laws, you are obligated. See how it works. So stop posting drivel.

Tue, 06/17/2014 - 22:43 | 4867733 Mr Pink
Mr Pink's picture

I don't have any debt except for what the IRS says I owe them. FUCK THEM

Tue, 06/17/2014 - 22:44 | 4867736 potato
potato's picture

We did not enter into a legal agreement to borrow the money owed by the government. We have no moral obligation to pay it back. The politicians borrowed it.

Tue, 06/17/2014 - 23:00 | 4867780 Double.Eagle.Gold
Double.Eagle.Gold's picture

i'd like to believe that too

unfortunately, every other nation that has accumulated too much debt has been held hostage by the banksters & the citizens did sign any agreements on that debt either.


no, they are selling us literally into debt slavery and we sit here and do not a damn thing.

Wed, 06/18/2014 - 03:25 | 4868161 sessinpo
sessinpo's picture

By virtue of electing these corrupt politicians, we are obligated to that debt. That is the inferred contract.

You didn't sign a property tax contract, but stop paying your property taxes. Because the majority elected local politiciams that passed property tax laws, you are obligated. See how it works. So stop posting drivel.

Tue, 06/17/2014 - 22:44 | 4867737 potato
potato's picture

We did not enter into a legal agreement to borrow the money owed by the government. We have no moral obligation to pay it back. The politicians borrowed it.

Wed, 06/18/2014 - 03:25 | 4868162 sessinpo
sessinpo's picture

By virtue of electing these corrupt politicians, we are obligated to that debt. That is the inferred contract. You didn't sign a property tax contract, but stop paying your property taxes. Because the majority elected local politiciams that passed property tax laws, you are obligated. See how it works. So stop posting drivel.

Tue, 06/17/2014 - 21:27 | 4867526 yogibear
yogibear's picture

"One utterance of a credit downgrade Moody's, S&P and Fitch and I'll haul the board members and CEOs to jail!"

- Eric Holder

Tue, 06/17/2014 - 21:34 | 4867540 Berspankme
Berspankme's picture


Tue, 06/17/2014 - 21:27 | 4867527 10mm
10mm's picture

Ill thrown some car board on the ground and break dance. Debt Jubilee or nothing.

Tue, 06/17/2014 - 21:29 | 4867531 Atomizer
Atomizer's picture

Structural breakdown. 

Tue, 06/17/2014 - 21:40 | 4867557 Citxmech
Citxmech's picture

It's coming.

But what's up with this statement:

A"And as I noted in one recent article, the size of the average monthly car payment in this country is now up to $474.

That is practically a mortgage payment."

Where the fuck is a mortgage payment around $500.00/mo. other than someplace in Bumfuck Egypt.

Tue, 06/17/2014 - 22:04 | 4867625 cossack55
cossack55's picture

I think he meant "that is practically a cell phone bill"

Tue, 06/17/2014 - 22:12 | 4867637 VAD
VAD's picture

I have one townhouse with a $475/month mortgage and another identical one with a $505/month mortgage.  Three bedrooms, 2 full baths and 2 car attached garages.  Just gotta know when and where to look.  Both cash-flow positive from day one.   

Wed, 06/18/2014 - 03:12 | 4868148 August
August's picture

>>>Just gotta know when and where to look

But I really don't want to buy property in Egypt.

Wed, 06/18/2014 - 10:05 | 4868930 detached.amusement
detached.amusement's picture

you left out the part about how long ago it was that you bought them. 

Tue, 06/17/2014 - 21:30 | 4867532 Caviar Emptor
Caviar Emptor's picture

Cha Ching!! We gonna party down using uncle sugar's credit card!

Tue, 06/17/2014 - 21:30 | 4867533 mayhem_korner
mayhem_korner's picture



And the difference between the rounded up $60T and $59.4T is $600 bilion dollars, which by itself is more money than any of us can comprehend.  And yet, pretty much what the Fed monetized with printed fiat in the past year plus or minus.  This is why we know the die is cast and time is the only variable left in the equation.

Tue, 06/17/2014 - 22:17 | 4867653 messymerry
messymerry's picture

The weather forecast for December 25, 2016 is dark and stormy...

Tue, 06/17/2014 - 21:31 | 4867537 icanhasbailout
icanhasbailout's picture

So what's the blended interest rate on that $60 trillion?


If my math is right, a 10% interest rate on that debt would consume 100% of surplus (post-survival) production.

Tue, 06/17/2014 - 21:35 | 4867544 TheRideNeverEnds
TheRideNeverEnds's picture

Recovery Summer V

Tue, 06/17/2014 - 21:37 | 4867550 starman
starman's picture

Who said you cant afford it!? 72 months Auto finance, 30 year mortgage, 24.9% Great America CC ! Live the dream!

Tue, 06/17/2014 - 21:40 | 4867558 rosiescenario
rosiescenario's picture

Never doubt the Feds will print more as inflation bails out the debtor.....for once it appears that the public and the government can both benefit from inflation.

Tue, 06/17/2014 - 21:57 | 4867561 cowdiddly
cowdiddly's picture

Was a a GM lot the other day looking around. (No not their to buy, recall) I had to kill some time while the car was repaired so i mosey over to the new pickups. Of course I was immediately mugged by a salesman. A 3/4 ton truck had 55,000 for a stiker price. I told the salesman that is more than I paid for 40 acres of land a few years ago. He immediately started telling me that they have financing for up to 84 months. EIGHT Freakin years. I asked him if he was out of his mind? The truck I drive now had some of the parts to repair it discontinued after 7 years how was I going to fix it for that long. American people have got to be the most wacko people on the planet if this is what they are taking out' 84 months for a stinking vehicle loan. The thing wont last that long. I left.

A month or two back I tried to sell an rv camper. This yahoo cowboy type in his late fifties no less proceeds to tell me that he has got the money to get a loan. Starts bragging that he gets disability check of 2500 per month so its guaranteed and he comes up at my place driving a Escalade. Another couple comes to look at it and says they are expecting an annuity payment to kick in soon. They were Looking to spend money they don't even know for sure if they have yet. I took the ad out of the paper.

Americans are off there livin lovin rockers.

Tue, 06/17/2014 - 22:00 | 4867606 Rusty Shorts
Rusty Shorts's picture

Year 2000 was the last year GM built a real truck, after 2001 everything went to SHIT. My advice, buy 1999 and 2000 Chevrolet Silverado Z71's , LT package, and hang on to them. They will be collector items soon. 

Tue, 06/17/2014 - 23:00 | 4867632 cowdiddly
cowdiddly's picture

I drive an 01 dodge cummins now. runs as strong as the day I bought it with over 350k. 5.9L Its the sorry assed dodge body that's had it. Got a bunch of buffalo dents from feeding in the winter. Pretty much dents bumper to bumper from cattle pushing around and a seat that's completely down to the springs from getting in and out so much. I really would like a newer one for a little depreciation but I guess I will just keep patchin it up till I die before I pay 60+k for another one. Anyhow, I figure the engine will last longer tham the average person will be able to afford the diesel to put in it at this rate. Price of diesel when Mabus took office? $1.85.

Wed, 06/18/2014 - 01:59 | 4868078 Double.Eagle.Gold
Double.Eagle.Gold's picture


seat reupholstering is very reasonable where I live, in Seattle. They can add seat heater, extra padding, etc. for very reasonable charges.

Tue, 06/17/2014 - 22:58 | 4867775 studfinder
studfinder's picture

Rusty-Family member has a '96 with 220,000 miles...z71...  original tranny, major repairs.  I'd believe what you say.

Wed, 06/18/2014 - 09:37 | 4868809 LMLP
LMLP's picture

Nope US still make awesome trucks! See the 2015 (how?) GMC Sierra Denall 2500 HD, Now!! That is a friggen truck, 6.6Ltr Duramx Turbo Deisel with Allison 1000 6-Speed Auto, yep they killed it...... do the 2015 baby, 2000's so 2000....n hey I hear they're throwing in 8 years financing!

Tue, 06/17/2014 - 21:44 | 4867569 shovelhead
shovelhead's picture

I need to get into selling cemetery plots.

"The last debt you'll ever need."

"Get in on the ground floor."

"You don't want prices to rise before you do."

"See the Lord in a plot you can afford."

"Get a nice row before you go."

Tue, 06/17/2014 - 22:21 | 4867672 Vincent Vega
Vincent Vega's picture

People are dying for cemetery plots.

Tue, 06/17/2014 - 22:59 | 4867777 FredFlintstone
FredFlintstone's picture

Thats why cemetaries are enclosed by a fence... people are just dying to get in.

Wed, 06/18/2014 - 08:41 | 4868553 Raging Debate
Raging Debate's picture

No expensive plot or headstone for me. I am getting cremated and for funeral making arrangements for a big party. Good food, top label booze and some hotels rooms so nobody has to drive.

Tue, 06/17/2014 - 21:47 | 4867577 pragmatic hobo
pragmatic hobo's picture

yup, ... there is no way that debt gets paid off in current dollar ...

Tue, 06/17/2014 - 22:13 | 4867639 intric8
intric8's picture

Default and start over

Tue, 06/17/2014 - 22:17 | 4867651 VAD
VAD's picture

Hell, even if we devalue by half fromwhere we are now, you think there's a chance?

Tue, 06/17/2014 - 21:50 | 4867579 trillion_dollar...
trillion_dollar_deficit's picture

According to Deb to the Penny, the US Government has added $831 billion in new debt since Sept 30th. This is happening when tax receipts are at all time highs and the unemployment rate is at a 5 year low.

Tue, 06/17/2014 - 21:50 | 4867582 Reaper
Reaper's picture

What me worry? A brilliant professor from Princeton was in charge at our government bank. We trusted him and all went well. Even better now, our government bank is now run by what appears to be a woman, who we know we can trust. We live in the promised land, blessed by God, where only the best get to the top.

In God, our government and our Central Bank, I trust, because doubt leads to unhappiness.

Wed, 06/18/2014 - 06:55 | 4868322 Tigg47
Tigg47's picture

Nope, nope and nope. In gold we trust.

Tue, 06/17/2014 - 21:51 | 4867585 Osmium
Osmium's picture

But debt is the bridge between working hard and playing hard.  Steve Liesman told us all that.

Tue, 06/17/2014 - 21:56 | 4867601 wagthetails
wagthetails's picture

Total assets of $115T, total debt of $60T and UFL of $129T. For a net worth of ($74T). We went out of biz A LONG time ago. Who knows when the masses final wake up to this. I'm not looking forward to that day. Reset.

Tue, 06/17/2014 - 22:21 | 4867674 10mm
10mm's picture

Reset, Right. 

Tue, 06/17/2014 - 21:58 | 4867604 Bunga Bunga
Bunga Bunga's picture

We are rich!

Tue, 06/17/2014 - 22:02 | 4867612 cynicalskeptic
cynicalskeptic's picture

Hell.. my mortgage is nearly paid off.....  it's the damn property taxes that are killing me.  Pretty much 

Those have more than tripled in 20 years. My income sure as hell hasn't.  Cuomo makes a big deal about capping property taxes but the State still sticks local gov and schools with unfunded mandates - AND cuts back on state aid that was there.  All BS.   Glad my kids are done with school - they're getting worse and worse with real morons in Admin spots.  Local gov isn't too bad but can't keep up anymore.  The potholes in local roads are miserable - and haven't seen patching since winter ended 9not that the patching then did any good).

Tue, 06/17/2014 - 22:06 | 4867627 yogibear
yogibear's picture

In so many city areas the property taxes have trippled to pay for the bloated public pensions.

Tue, 06/17/2014 - 23:06 | 4867794 studfinder
studfinder's picture

Pensions based on your top 3 years (earnings).  Slack off for 22 years or whatever it is...then take every over time, extra shift, etc for the last 3...  See your pension skyrocket for the rest of your life.  Retire in your early 50s (if you have the years).  Only catch is health insurance, but either work another job or hope the wife can keep you covered.  I've heard some city workers can even keep their insurance if they put in enough time (still early 50s).   If you got in at the right time (its changing now for new guys, but its still better then almost any thing out there), government work is like hitting the fucking lottery.  I know a dude (super nice guy) who got out at 53 and pulls in 5K a month for the rest of his life (plus kept his GOOD health insurance).  On top of that pension payements are not subjected to certain taxes?  whateve rthe case...lucky fucker. Sits by the pool all day working on his tan.

Tue, 06/17/2014 - 22:14 | 4867640 Rusty Shorts
Rusty Shorts's picture

My homeowners insuance has tripled, in one year!!! Have never made a claim - it's an extortion racket!!!

Tue, 06/17/2014 - 22:19 | 4867662 10mm
10mm's picture

Get out of that NY shit hole, period.

Wed, 06/18/2014 - 02:59 | 4868143 cynicalskeptic
cynicalskeptic's picture

If you've got a job (and a GOOD one - a rarity these days) you're staying with it....  there's a HUGE amount to be said for job security (as long as the company is around, you're employed) and a 5 minute commute (almost worth the taxes and a real rarity around here).....

I used to envy family down south where their lifestyle was far better at a far lower cost BUT.... the schools were crap - their kids are dumb as rocks and barely made it through State Schools with no real future ahead (while mine are at top colleges and will do fine even with the current mess).  And now that the plants they worked in are closing (and the few that remain are cutting pay and benefits) they're in deep shit.  I could sell my house tomorow.  It took two years for my brother to sell his - and I suspect he was lucky if he broke even (I'll come out far ahead of what I paid - even with inflation and maybe better).

People are IN places like NY because there ARE still some really good jobs here - that pay enough to (almost) make up for the cost of living here.  but if you don't have any real skills or education, this is NOT the place to be.


Wed, 06/18/2014 - 00:41 | 4867990 Manipuflation
Manipuflation's picture

That is a green arrow from me for that that post.  That is a reasonable position.  I just wish there were more folks like you in the world cynicalskeptic.  I am so glad that I am not the only one speaking the truth we often find here on ZH.  If you won't give up then I won't either. 

Everyone should call up, email or whatever their "elected representives" and let ride just one time.  It is not hard to do.  Tell them whatever but mostly that is not working.   Tell them that we don't believe in them because we don't.  I don't know that it would ever matter but it can't hurt to give it a shot. 

If I have any faith left it is in ZHer's.  We are seriously the last line of financial intelligence left out there.  I really wish I had a way to stop these morons but I don't.  We have to use the "death of a thousand cuts" philosophy I believe.  That means it can't just be me harrassing these politicos.  We all have to harangue them by calling them up and bothering them.  I don't know that it will matter but we have to try one last time.  I think we have explained our concerns quite well at this point but it can't hurt to keep after these people.  We deserve answers to that which we request answers to. 

It is a real son of a bitch when you are the only ZHer in the room but you can do it.  I have.  Those "people" are terrified of me and especially so when I show up with an agenda all printed out.  It makes those who should be nervous quite nervous indeed because they know that I am there at the meeting to hold them accountable for their actions.  

I only need one other ZHer from the locality in question to second a motion and force a vote and then I can take it further from there but I need that second guy/gal.   

Wed, 06/18/2014 - 01:48 | 4868060 Pareto
Pareto's picture

+1 Manipulation. Love the spirited appeal. Gives one a sense of hope. 

Tue, 06/17/2014 - 22:04 | 4867620 Sean7k
Sean7k's picture

It's only our debt if we accept it. It is only our debt if we allow them to confiscate assets. 

I have other forms of money and goods for trade. I really don't need FRN's. 

This is not a problem, unless all your wealth is tied up in paper money or you need to collect....

Tue, 06/17/2014 - 22:20 | 4867667 Caviar Emptor
Caviar Emptor's picture

We are heading toward utopia: no work, just loans paid for with inflation!

Tue, 06/17/2014 - 22:30 | 4867700 pagan
pagan's picture

The powers that be really wants us going into debt. Seems more important than work. I suppose increasing debt levels is what keeps the system going. The endgame wont be pretty, but this gameplay can last for a long time. When the next systemic bubble burst. They just reflate again...

Tue, 06/17/2014 - 22:46 | 4867742 potato
potato's picture

All these record debt figures are bullshit if they're not indexed to inflation.
Tell me, how much is this in oz of gold? 

Tue, 06/17/2014 - 22:57 | 4867774 FredFlintstone
FredFlintstone's picture

Bullshit? Hmmm. What is the GDP in 2014 dollars?

Tue, 06/17/2014 - 22:53 | 4867759 NoWayJose
NoWayJose's picture

60 Trillion can be paid off with just 60 one trillion dollar Onama Coins. No problem!

Wed, 06/18/2014 - 03:18 | 4868153 cynicalskeptic
cynicalskeptic's picture

I've got a few hundred trillion in Zimbabwe dollars..... not even good for wiping your ass - they clog the toilet.


We wouldn't be in this mess if we'd adhered to the Constitution and limited government to minting gold and silver for use as money.   Outside of wars (1812 and the Civil War to be precise) the 19th century saw very little inflation in the US.  Contrast that with the 20th century - your dollar now has the buying power a few cents had a hundred years before.

Putting things in very real terms - the house my grandparents paid $12,000 for in 1948 was sold to my parents 20 years later for $29,000 - still around 2 1/2 times annual income (with ONE person working not two).  That house sold for over $500,000 forty years after that.  That would be 5-6 times annual income  And it was nothing special.

My first (used) car cost me less than $500 in the mid 70's.  I'd get paid that scrapping a car today.  Anything in comparable condition would run 5 times that today.   IU could have bought a decent new car for $3000 then - now it'd be $25,000-30,000.

Tue, 06/17/2014 - 23:01 | 4867782 Dublinmick
Dublinmick's picture

All I can say to both the bankers and the fighting men is "thank you for your service"

Tue, 06/17/2014 - 23:13 | 4867822 Dublinmick
Dublinmick's picture

Wasting away in Bankerville

Nibblin' on MSN cake,
watchin' the sun bake;
All of those tourists covered with oil.
Strummin' my six string on my front porch swing.
Smell those shrimp
They're also covered with oil

Wasted away again in bankerville,
Searchin' for my lost shaker of salt.
Some people claim that there's a woman to blame,
But I know it's  those bankers fault

Don't know the reason,
Stayed here all season
With nothing to show but this brand new tattoo.
But it's a real beauty,
A Mexican cutie, how it got here
I haven't a clue. (Check for the thigh rash)

Wasted away again in Bankerville,
Searchin' for my lost shaker of salt.
Some people claim that there's a woman to blame,
Now I think, - hell it could'nt be my fault.

I blew out my flip flop,
Stepped on a pop top,
Cut my heel, had to cruise on back home.
But there's booze in the blender,
And soon it will render
That frozen concoction that helps me hang on.

Wasted away again in Margaritaville
Searchin' for my lost shaker of salt.
Some people claim that there's a woman to blame,
But I know, it's not my damn fault.
Yes, and some people claim that there's a woman to blame
And I know it's not my own damn fault.

Tue, 06/17/2014 - 23:18 | 4867836 Manipuflation
Manipuflation's picture

All I want is out and they know how dangerous that idea is to their scam.  By God or whatever you choose to believe in I am going to get out and I am so close now.  It is far too late to apologize to us now.  They are lucky they don't have the muzzles of millions of rifles shoved in their faces...or up their asses. 

It never needed to come to this but it has and now here we all are and we are staring back.  The game is over.  It will all progress as all things do and it won't likely end well.  I do not know that I can say that this is only occurring in the U.S..  I am hearing this discontent from around the world and from some unlikely places.

These debtmaster assholes wanted a complete global banking cabal but I only see a global network of people saying "Fuck you banksters".  We are not fiat specie socialists. 

Wed, 06/18/2014 - 09:56 | 4868897 RabbitOne
RabbitOne's picture

You figured it out! Now you know why they are keeping the game going. We have guns! That is why in Obama's last 2 years he will do everything in their power to eliminate fire arms. Guns are the one thing our government fears the most. They are the last real leverage we have against government...  

Wed, 06/18/2014 - 09:56 | 4868899 Farmer Joe in B...
Farmer Joe in Brooklyn's picture

There are several countries where you can establish permanent residency with as little as $200k invested (Costa Rica, my personal choice).  Have virtually all same rights as citizens (minus voting). 

Buy land a little off the beaten path (much more affordable) and build a home.  Self-sustainability will be key when this comes to a head.

Tue, 06/17/2014 - 23:20 | 4867840 world_debt_slave
world_debt_slave's picture

I bought a brand new Nissan 4x2 pickup 1991 for around $7000. I paid it off in 4 months and went until 2003 when I bought a used van for the same amount and paid cash for it. I'm still driving that van but refuse to buy a new car at these prices and used car prices are too high also from that asinine "cash for clunkers".

Wed, 06/18/2014 - 09:22 | 4868728 Farmer Joe in B...
Farmer Joe in Brooklyn's picture

On that note, bought 2006 Explorer for ~$10k in cash.  Didn't want additional debt / car payments.

Ironically, I was recently going through custody/child support litigation (instigated by me, for the record) and not having car payments actually HURT me when it came to establishing support.

The system is stacked against the saver on SO many levels here in the US.  Had I taken out a loan on an expensive vehicle, it would have counted as an liability on my net assets and as a monthly expense.

Instead, it counts towards my assets (making me appear to have more wealth) AND it takes away from my monthly expenses, freeing up more for increased support payments.

You just can't win sometimes....

Tue, 06/17/2014 - 23:31 | 4867864 AdvancingTime
AdvancingTime's picture

Much of the economic landscape is beginning to look like something out of  "Alice And The Looking Glass" A bizarre  and unrecognizable land, a land that is distorted and papered over by ream after ream of paper. This paper has been rolling off the printing presses of central banks all across the world in an attempt to mask reality.

Peter Schiff says, printing money is to the economy what taking drugs is to a drug addict. In the short term it makes the economy feel good, but in the long run it is much worse off. What was once the "long run" or "distant future" may be getting much closer. More on this in the article below.

Tue, 06/17/2014 - 23:38 | 4867882 kchrisc
kchrisc's picture

In a fraudulent-reserve bankster system, the debt really represents theft but also presents an opportunity for the American people to topple the elites and their pol and crat puppets without violence, at least initially:


The most powerful weapon the American people have is Rejection.

The system of fraud and theft that has been built up upon the backs of the American people is dependent upon our backs. Withdrew our backs, and the whole thing collapses. This is our greatest weapon.

Quit Paying--put it into food, steel and lead, and precious metals, etc. They stole what ever "debt money" they loaned you in the first place via fraudulent-reserve banking and soon you won't be able to pay them anyways, so just stop now.

Quit Obeying--If they are in violation of the Constitution then they are criminals and not legitimate.

Quit Playing--Quit being a tool for them to use.

The Four Rs
Rejection: Quit paying, quit obeying, quit playing
Revolution: It is inevitable, so prepare, as they are.
Retribution: The guilty must answer for their crimes against the American people and the Constitution.
Restoration: Restore the American people, country and Constitutional republic.

Wed, 06/18/2014 - 04:01 | 4868185 newworldorder
newworldorder's picture

Are you this optimistic when it comes to the American population? Have you seen any evidence recently that we the people are aware of any of this on a mass scale?







Wed, 06/18/2014 - 13:18 | 4870029 kchrisc
kchrisc's picture

The American sheeple are oblivious, however, someone must start somewhere.

Start framing the coming debate, violence and setting priorities.


Tue, 06/17/2014 - 23:56 | 4867918 oooBooo
oooBooo's picture

$474. That is practically a mortgage payment.

In some places. But in those places people generally can't make that as car payment.



Wed, 06/18/2014 - 00:11 | 4867950 Lynn Trainor
Lynn Trainor's picture

With 60 trillion in debt, any rational person or persons would become alarmed and beginning tightenng the belt, reigning in spending, and being more responsible, but not this president and this congress - full speed ahead, damn the torpedos - they all aught to be impeached - time to try individuals with half a brain.  A little longer with this insanity is sure to finish us off.

Wed, 06/18/2014 - 03:56 | 4868180 newworldorder
newworldorder's picture

No can do and no need to do - by implementing  austerity. Modern Monetary Theory explains it all.

The sheeple have been told not to worry, all debts are hedged. Who are the sheeple to question the PhD economist Gods? Better focus elsewhere. The kardsh baby is very cute. Have you seen the latest photos?

Wed, 06/18/2014 - 00:27 | 4867969 Soul Glow
Soul Glow's picture

Debt is good!

- Paul Krugman

Wed, 06/18/2014 - 02:09 | 4868089 Kina
Kina's picture

Hmm 1971 something happened that changed it all..

Wed, 06/18/2014 - 03:32 | 4868168 Calculus99
Calculus99's picture

Nowhere does it bigger than the USA!

Wed, 06/18/2014 - 03:48 | 4868170 NuYawkFrankie
NuYawkFrankie's picture

What "Debt"?


The debt OF the Parasite Class (DC/Wall St),  FOR the Parasite Class, and BY the Parasite Class is NOT YOUR debt.

Tell them to Shove It!


Wed, 06/18/2014 - 06:44 | 4868310 AdvancingTime
AdvancingTime's picture

Massive deficits have been propelling the economy forward, and it is not sustainable. Please note; Greatly compounding the problem is the realization that most people like infants, children, the disabled or unemployed could not pay their share if their life depended on it, this transfers the burden to the remainder of society.

Making the ugly math simple to understand is no easy task, the article below has a go at it. Not lying about the numbers to arrive at a clear picture of reality is important. Most Americans would be shocked at just how deep the debt is stacking up,

Wed, 06/18/2014 - 06:47 | 4868315 Last of the Mid...
Last of the Middle Class's picture

You can tell them to shove it but you will still pay their debt in everything you purchase from aspirin to tires. This form of tyranny exists because it quietly charges you for their financial indiscretions leaving you with little recourse, especially when the media is complicit and looks the other way as someone completely unfit for duty is reelected for another 4 years. And by the way just in case you don't know the prices for pharmaceuticals is not just going up, it's skyrocketing on a daily basis and no one will tell you this. It's hidden in a completely capitated system but the results will be devastating in the coming years as far as pharmaceutical care goes. Get ready for a real ride this is going to be pretty bumpy i'm afraid

Wed, 06/18/2014 - 07:10 | 4868339 grid-b-gone
grid-b-gone's picture

Few economists and politicians realize how much a nation's prosperity comes from having a vibrant middle-class- working, spending, investing, striving.

Much of the rest, like tampering in the Mideast, is non-productive waste.

Wed, 06/18/2014 - 07:27 | 4868366 CHX
CHX's picture

Add to that the unfunded liabilities of the USSA govermint, and you're looking at 150+ Trillion. Pocket change for a printing press ?

Wed, 06/18/2014 - 08:07 | 4868432 madcows
madcows's picture

Biden Already addressed this.  He said "You have to spend money, to make money.  Do, We gotta go into more debt, to get outta debt.  Yes.  Yes we do my peeps.  Yes we do."  Look it up.  Go ahead, google the vice retard's speech.

Wed, 06/18/2014 - 08:32 | 4868516 MASTER OF UNIVERSE

If Americans are dumb enough to get themselves into this much debt servicing why would anyone ever think that American politicians and Investment Banksters should be any different from the norm? Face the facts and realize
that Americans are as greedy as their investment banksters and whether one looks at the situation from the top down or the bottom up, you are all unhinged and insane when it comes to the allmighty dollar. If the American people worship materialism and money to the point of mass suicide
through debt serfdom and debt servicing why should you be viewed as anything more than lemmings jumping off of cliffs?
The Fiscal cliff is an American invention that was created by American lemmings so they would have a place to commit
suicide en masse. Welcome to the American Nightmare after all these years of living the American 'Dream', SUCKERS!

Wed, 06/18/2014 - 09:05 | 4868674 Peter Pan
Peter Pan's picture

It doesn't matter if you owe that debt or you are owed that debt. Both sides of the ledger are going to end up being disappointed.

Wed, 06/18/2014 - 09:12 | 4868689 Farmer Joe in B...
Farmer Joe in Brooklyn's picture

Leverage can be a great wealth accumulator.  The fed is making sure of that.

The trick is to pick the right moment to delever before the whole house of cards comes crumbling down.

Round and round we go... when the music stops, nobody knows....

Wed, 06/18/2014 - 09:24 | 4868739 RabbitOne
RabbitOne's picture

I worked in banking and finance industry for 30 years as an IT manager. Bankster’s fed credit cards (A banks EBT) to tens of millions who should never have had one in a sane world. Banks can blame the political pressure (it was real) that everyone should have the America dream (especially 1990s legislation). But what the banks loved was the government allowing them to rape consumers with fee after fee after fee for Credit Cards (CC’s).

 I sat in many meetings where I wanted to puke as bank managers discussed their juicy fees amounts. All they cared about then were the millions in the CC portfolio support structure going to provide a high enough interest amount to justify the fee structure of the stupid consumers who provided big cc fees. Dodd-Frank was supposed to fix this!

 We have used our status as the world’s reserve currency to run up our personal credit and personal debt beyond the max. And in the end this is the story about the end of the old America in the coming months…  



Wed, 06/18/2014 - 10:16 | 4868961 OldE_Ant
OldE_Ant's picture

I reiterate one simple fact anyone can check.

$1T of debt = all working Americans working at $10/hr with no takehome, 100% tax rate, weekends off for an entire year.

$1T/yr is the rate of debt accumulation by US and is a number entirely too low as of late.

Even at .1% interest rate the total debt can't be paid off.


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